HLS 19RS-859 REENGROSSED
2019 Regular Session
HOUSE BILL NO. 575
BY REPRESENTATIVE MAGEE
Prefiled pursuant to Article III, Section 2(A)(4)(b)(i) of the Constitution of Louisiana.
TRANSPORTATION: Establishes requirements for transportation network companies
1 AN ACT
2To amend and reenact R.S. 45:201.6(G)(2) and to enact Chapter 36 of Title 48 of the
3 Louisiana Revised Statutes of 1950, to be comprised of R.S. 48:2191 through 2205,
4 relative to transportation network companies; to provide for transportation network
5 company and driver requirements; to provide for permits, fees, fare transparency, and
6 identification of vehicles and drivers; to provide for a nondiscrimination policy; to
7 provide for definitions; to provide for records and audit requirements; to provide for
8 an effective date; and to provide for related matters.
9Be it enacted by the Legislature of Louisiana:
10 Section 1. R.S. 45:201.6(G)(2) is hereby amended and reenacted to read as follows:
11 §201.6. Requirements for insurance
12 * * *
13 G. A policy of insurance procured pursuant to this Section:
14 * * *
15 (2) May be placed with an authorized insurer or with a surplus lines insurer,
16 pursuant to R.S. 22:432, that has a rating of no less than an A- from A.M. Best, an
17 A from Demotech, Inc. or a similar rating from another rating agency recognized by
18 the Department of Insurance.
19 * * *
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1 Section 2. Chapter 36 of Title 48 of the Louisiana Revised Statutes of 1950,
2comprised of R.S. 48:2191 through 2205, is hereby enacted to read as follows:
3 CHAPTER 36. TRANSPORTATION NETWORK COMPANY REQUIREMENTS
4 §2191. Definitions
5 The following terms, as used in this Chapter, shall have the meanings
6 ascribed to them in this Section, except where a different meaning is expressly stated
7 or clearly indicated by context:
8 (1) "Bodily injury" means claims for general and special damages for
9 personal injury arising under Civil Code Article 2315.
10 (2) "Department" means the Louisiana Department of Transportation and
11 Development.
12 (3) "Digital network" means any online-enabled application, software,
13 website, or system offered or utilized by a transportation network company that
14 enables the prearrangement of rides with transportation network company drivers.
15 (4) "Gross trip fare" means the base fare plus any time or distance charges,
16 excluding any additional charges such as airport or venue fees.
17 (5) "Intrastate prearranged ride" means any prearranged ride, as provided for
18 in this Section, originating within the jurisdiction of the local governmental
19 subdivision.
20 (6) "Local governmental subdivision" means any parish or municipality as
21 defined in Article VI, Section 44(1) of the Constitution of Louisiana.
22 (7) "Personal vehicle" means a vehicle that is used by a transportation
23 network company driver and is owned, leased, or otherwise authorized for use by the
24 transportation network company driver. A personal vehicle is not a vehicle subject
25 to Parts A and B of the Motor Carrier law as provided for in R.S. 45:161 et seq. or
26 engaged solely in interstate commerce.
27 (8) "Prearranged ride" means the provision of transportation by a driver to
28 a rider that commences when a driver accepts a ride requested by a person through
29 a digital network controlled by a transportation network company, continues during
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1 the driver transporting a requesting rider, and ends when the last requesting rider
2 departs from the personal vehicle. A prearranged ride does not include shared
3 expense van pool services, as defined pursuant to R.S. 45:162(18), shared expense
4 car pool services, as defined pursuant to R.S. 45:162(1), or transportation provided
5 using a vehicle subject to Part A or B of the Motor Carrier law as provided for in
6 R.S. 45:161 et seq. or engaged solely in interstate commerce.
7 (9) "Pre-trip acceptance period" means any period of time during which a
8 driver is logged on to the transportation network company's digital network and is
9 available to receive transportation requests, but is not engaged in an intrastate
10 prearranged ride as defined in Paragraph (5) of this Section.
11 (10) "Transportation network company" or "company" means a person,
12 whether natural or juridical, that uses a digital network to connect transportation
13 network company riders to transportation network company drivers who provide
14 prearranged rides, or a person, whether natural or juridical, that provides a
15 technology platform to a transportation network company rider that enables the
16 transportation network company rider to schedule an intrastate prearranged ride.
17 (11) "Transportation network company driver" or "driver" means a person
18 who receives connections to potential passengers and related services from a
19 transportation network company in exchange for payment of a fee to the
20 transportation network company, and who uses a personal vehicle to offer or provide
21 a prearranged ride to persons upon connection through a digital network controlled
22 by a transportation network company in return for compensation or payment of a fee.
23 (12) "Transportation network company rider" or "rider" means a person who
24 uses a transportation network company's digital network to connect with a
25 transportation network driver who provides intrastate prearranged rides to the rider
26 in the driver's personal vehicle between points chosen by the rider.
27 (13) "Transportation network company vehicle" or "vehicle" has the same
28 meaning as "personal vehicle" as provided for in this Section.
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1 §2192. Classification of carriers
2 A company or a driver shall not be considered a common carrier, contract
3 carrier, or motor carrier, and shall not provide taxi or for hire vehicle service. In
4 addition, a driver shall not be required to register the vehicle that the driver uses to
5 provide prearranged rides as a commercial motor vehicle or a for hire vehicle.
6 §2193. Transportation network company permits
7 A. A person shall not operate a company in the state of Louisiana without
8 first obtaining a permit from the department. However, if a company has been
9 operating in this state prior to the effective date of this Chapter, they may continue
10 operating until the department creates a permit process and sets a registration
11 deadline. As a part of the permit process, a company shall be required to provide the
12 department with a certificate of insurance verifying compliance with R.S. 45:201.6
13 and listing the department as a certificate holder.
14 B. The department shall issue a permit to each applicant that meets the
15 requirements applicable to a company as provided for in this Chapter.
16 §2194. Service of process
17 A company shall maintain an agent for service of process in the state of
18 Louisiana.
19 §2195. Fare transparency
20 If a fare is collected from a rider, the company shall disclose to the rider the
21 fare or fare calculation method located on its website or within the online-enabled
22 technology application service prior to the start of the prearranged ride. If the fare
23 is not disclosed to the rider prior to the beginning of the prearranged ride, the rider
24 shall have the option to receive an estimated fare before the start of the prearranged
25 ride.
26 §2196. Identification of transportation network company vehicles and drivers
27 A. The company's digital network shall display a picture of the driver and
28 the license plate number of the motor vehicle used for providing the prearranged ride
29 before the rider enters the driver's vehicle.
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1 B. Upon the request of a rider, a driver shall present his physical license or
2 digitized driver's license to the rider prior to the start of each prearranged ride.
3 §2197. Electronic receipt
4 Within a reasonable amount of time following the completion of a
5 prearranged ride, a company shall transmit an electronic receipt to the rider on behalf
6 of the driver. The receipt shall include all of the following:
7 (1) The origin and destination of the trip.
8 (2) The duration and distance of the trip.
9 (3) The total fare paid for the trip.
10 §2198. Zero tolerance policy
11 A. The company shall implement a zero tolerance policy regarding a driver's
12 activities while accessing the company's digital network. The zero tolerance policy
13 shall address the use of drugs or alcohol while a driver is providing prearranged rides
14 or is logged into the company's digital network, regardless of whether the driver is
15 providing prearranged rides. The company shall provide notice of this policy on its
16 website as well as procedures to report a complaint about a driver with whom a rider
17 was matched and whom the rider reasonably suspects was under the influence of
18 drugs or alcohol during the course of the prearranged ride.
19 B. Upon receipt of a rider's complaint alleging a violation of the zero
20 tolerance policy, the company shall suspend the alleged driver's ability to accept trip
21 requests through the company's digital network immediately and shall conduct an
22 investigation into the reported incident. The suspension shall last the duration of the
23 investigation.
24 C. The company shall maintain records relevant to the enforcement of this
25 requirement for a period of at least two years from the date that a rider's complaint
26 is received by the company.
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1 §2199. Transportation network company driver requirements
2 A. Before an individual is authorized to accept trip requests through a
3 transportation network company's digital network, the following conditions shall be
4 met:
5 (1) The individual shall submit an application to the company, which
6 includes information regarding his address, age, driver's license, motor vehicle
7 registration, insurance, and any other information required by the company.
8 (2) The company or a third party shall conduct a local and national criminal
9 background check for each applicant that includes the following:
10 (a) A multi-state and multi-jurisdiction criminal records locator or other
11 similar commercial nationwide database with validation of any records through a
12 primary source search.
13 (b) A search of the national sex offender public website maintained by the
14 United States Department of Justice.
15 (3) The company or a third party shall obtain and review a driving history
16 research report for each applicant.
17 B. The company or a third party shall conduct the background check and
18 driving history research report set forth in Paragraphs (A)(2) and (A)(3) of this
19 Section at least once every two years.
20 C. The company shall not authorize an individual to act as a driver if the
21 individual's driving history report reveals the individual received more than three
22 moving violations within the three-year period prior to applying to the company.
23 D. The company shall not authorize an individual to act as a driver if the
24 individual's initial background check or any subsequent background check reveals
25 the individual:
26 (1) Has had more than one of the following violations within the three-year
27 period prior to applying to the company:
28 (a) Flight from an officer or aggravated flight from an officer as provided for
29 in R.S. 14:108.1.
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1 (b) Reckless operation of a vehicle as provided for in R.S. 14:99.
2 (c) Operating a vehicle while under suspension for certain prior offenses as
3 provided for in R.S. 14:98.8.
4 (2) Has been convicted, within the past seven years, of:
5 (a) Any enumerated felony as provided for in Title 14 of the Louisiana
6 Revised Statutes of 1950, comprised of R.S. 14:1 through 601.
7 (b) Operating a vehicle while intoxicated as provided for in R.S. 14:98
8 through 98.4.
9 (c) Hit and run driving as provided for in R.S. 14:100.
10 (d) Any crime of violence as defined in R.S. 14:2(B).
11 (3) Is listed as an offender in the national sex offender public website
12 maintained by the United States Department of Justice.
13 (4) Does not possess a valid driver's license to operate a personal vehicle.
14 (5) Does not possess the required registration to operate a motor vehicle used
15 to provide prearranged rides.
16 §2200. Prohibited conduct
17 A driver shall not accept a trip for compensation other than a trip arranged
18 through a company's digital network.
19 §2201. Nondiscrimination; accessibility
20 A. The company shall adopt a nondiscrimination policy with respect to riders
21 and potential riders and shall inform drivers of such policy.
22 B. Drivers shall comply with all applicable nondiscrimination laws.
23 C. Drivers shall comply with all applicable laws relating to transporting
24 service animals.
25 D. A company shall not impose any additional charges for providing services
26 to persons with physical disabilities.
27 §2202. Records
28 A company shall maintain the following records:
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1 (1) Individual trip records for at least three years from the date each trip was
2 provided.
3 (2) Individual records of drivers for at least three years after the date which
4 a driver's relationship with the company has ended.
5 §2203. Audit procedures; confidentiality of records
6 A. For the sole purpose of verifying that a company is in compliance with
7 the requirements of this Chapter, annually at most, the department shall have the
8 right to visually inspect a sample of records that the company is required to maintain.
9 The sample shall consist of required records pertaining to up to one hundred drivers.
10 If, after the initial audit, the department has a reasonable basis to conclude that the
11 company is not in compliance with the requirements of this Chapter, the department
12 may, upon reasonable notice, conduct a supplemental audit of records for an
13 additional selection of drivers. The audit shall take place at a location in Baton
14 Rouge. Any record furnished to the department may, as appropriate, exclude
15 information that would identify specific drivers or riders.
16 B. The governing body of a local governmental subdivision may request
17 from the department a report on the results of the audit performed by the commission
18 pursuant to Subsection A of this Section.
19 C. In response to a specific complaint against any driver or company, the
20 department is authorized to inspect records held by the company that are necessary
21 to investigate and resolve the complaint. The company and department shall
22 endeavor to have the inspection take place at a mutually agreed upon location in the
23 state. Any record furnished to the department may exclude information that would
24 identify specific drivers or riders, unless the identity of a driver or rider is relevant
25 to the complaint.
26 §2204. Local fees
27 A. A local governmental subdivision that enacted a transportation network
28 company ordinance prior to March 1, 2019, that included a per-trip fee and has a
29 company operating within the corporate limits of the local governmental subdivision
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1 as of March 1, 2019, is authorized to impose a fee up to or equal to the per-trip fee
2 imposed by the local governmental subdivision's transportation network company
3 ordinance as of March 1, 2019, on each intrastate prearranged ride originating within
4 the corporate limits of the local governmental subdivision. Nothing in this
5 Subsection shall be construed to allow a local governmental subdivision to impose
6 any fees or requirements other than the per-trip fee specified in this Subsection.
7 B. Any local governmental subdivision not included in Subsection A of this
8 Section may impose a fee of up to one percent of the gross trip fare for each
9 intrastate prearranged ride. A local governmental subdivision that imposes a per-trip
10 fee pursuant to Subsection A of this Section shall not impose a fee pursuant to this
11 Subsection. Nothing in this Subsection shall be construed to allow a local
12 governmental subdivision to impose any fees or requirements other than the fee
13 specified in this Subsection.
14 C. A local governmental subdivision authorized to impose a fee pursuant to
15 Subsection B of this Section may impose the specified fee that complies with
16 Subsection B of this Section by passing an ordinance. The ordinance shall impose
17 the specified fee, that complies with Subsection B of this Section, on each company
18 permitted by the department in accordance with R.S. 48:2193. A municipality's fee
19 may apply only to intrastate prearranged rides originating within the incorporated
20 limits of the municipality. A parish's fee may apply only to intrastate prearranged
21 rides originating within the unincorporated portions of the parish.
22 D. A local governmental subdivision shall provide, at least thirty days prior,
23 written notice to each company permitted by the department, in accordance with R.S.
24 48:2193, of an initial hearing, reading, or consideration of an ordinance imposing a
25 fee pursuant to this Section. A local governmental subdivision shall also provide
26 written notice within ten days of the passage of any ordinance imposing a fee
27 pursuant to this Section. A fee imposed pursuant to this Section shall not go into
28 effect until the first day of the month that is at least thirty days after passage of the
29 ordinance imposing the fee.
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1 E. If a local governmental subdivision passes an ordinance imposing a fee
2 pursuant to this Section, a company shall collect the fee on behalf of drivers for each
3 intrastate prearranged ride. Each company shall remit the total fee to the local
4 governmental subdivision on a quarterly basis within thirty days after the end of the
5 calendar quarter.
6 F. The department shall have the sole audit authority with respect to fees
7 remitted by a company to a local governmental subdivision. A company shall keep
8 accurate books and records reflecting its accounting and payment of fees, pursuant
9 to this Section, in accordance with generally accepted accounting principles. For
10 each local governmental subdivision that passes an ordinance imposing a fee
11 pursuant to this Section, the department may, at its discretion, upon reasonable prior
12 written request, and no more than annually, conduct an audit by visually inspecting
13 a company's books and records related to its accounting and payment of fees to the
14 local governmental subdivision. Such an audit shall be limited to a single calendar
15 quarter, which may be chosen by the department, for each local governmental
16 subdivision. The department shall endeavor to have any such audits for a particular
17 company occur within the same calendar quarter. If the local governmental
18 subdivision has a reasonable basis to suspect a material underpayment by a company,
19 the local governmental subdivision shall request that the department initiate an audit
20 pursuant to this Subsection. If an underpayment of over fifty dollars to any local
21 governmental subdivision is identified in an audit conducted by the department, the
22 company shall remit the underpaid fees to the local governmental subdivision within
23 thirty days of the conclusion of the department's audit. A local governmental
24 subdivision shall not add additional audit authority by ordinance. Any record
25 furnished or disclosed to the department may, as appropriate, exclude information
26 that would identify specific drivers or riders.
27 G. The governing body of a local governmental subdivision may request to
28 review the results of an audit conducted pursuant to Subsection F of this Section with
29 respect to fees remitted by a company to the local governmental subdivision.
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1 §2205. Controlling authority
2 A. It is the intent of the legislature to provide uniform laws to govern
3 companies, drivers, and vehicles throughout the state in order to protect and promote
4 the safety and welfare of the residents of Louisiana.
5 B. Except as provided in R.S. 48:2204 and Subsection D of this Section, and
6 notwithstanding any other provision of law to the contrary, companies, drivers, and
7 vehicles are governed exclusively by state law, including Part C of the Motor Carrier
8 law as provided for in R.S. 45:161 et. seq., this Chapter, and any rules promulgated
9 by the department consistent with this Chapter.
10 C. A local governmental subdivision shall not do any of the following:
11 (1) Impose a tax on, or require a license for, a company, a driver, or a vehicle
12 if such tax or license relates to providing prearranged rides, except as provided in
13 R.S. 48:2204 or Subsection D of this Section.
14 (2) Require a company or a driver to obtain a business license or any other
15 type of similar authorization to operate within the jurisdiction.
16 (3) Subject a company, a driver, or a vehicle to any rate, entry, operation, or
17 other requirement of the governing authority, except as provided in R.S. 48:2204 or
18 Subsection D of this Section.
19 D. The provisions of this Section shall not prohibit an airport from charging
20 pick-up fees for the use of the airport's facilities or designating locations for staging,
21 pick-up, and other similar operations at the airport. An airport pick-up fee is not a
22 local fee subject to the provisions of R.S. 48:2204.
23 E. Nothing in this Section shall be construed to prohibit the state from
24 maintaining, enforcing, prescribing, or continuing in effect any law or regulation
25 regarding the sale, distribution, repair, or service of vehicles pursuant to Title 32 of
26 the Louisiana Revised Statutes of 1950.
27 * * *
28 Section 3. The department may promulgate rules and regulations to implement and
29enforce this Act, including the imposition of fees as are necessary to cover the cost of
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1administration of this Act. The rules and regulations may be more stringent than the
2requirements set forth in this Act, provided that they are consistent with the requirements of
3this Act. Additionally, the department shall report to the Joint Legislative Committee on
4Transportation, Highways and Public Works for review and approval of any rules or
5regulations promulgated by the department.
6 Section 4. This Act shall become effective July 1, 2019.
DIGEST
The digest printed below was prepared by House Legislative Services. It constitutes no part
of the legislative instrument. The keyword, one-liner, abstract, and digest do not constitute
part of the law or proof or indicia of legislative intent. [R.S. 1:13(B) and 24:177(E)]
HB 575 Reengrossed 2019 Regular Session Magee
Abstract: Provides relative to transportation network company requirements.
Present law authorizes a policy of insurance procured pursuant to present law to be placed
with an authorized insurer or with a surplus lines insurer pursuant to present law.
Proposed law retains present law but requires that the authorized insurer or surplus lines
insurer have a rating of no less than an A- from A.M. Best, an A from Demotech, Inc., or a
similar rating from another rating agency recognized by the Dept. of Insurance.
Proposed law defines "bodily injury" as claims for general and special damages for personal
injury arising under present law (Civil Code Article 2315).
Proposed law defines "department" as the La. Dept. of Transportation and Development.
Proposed law defines "digital network" as any online-enabled application, software, website
or system offered or utilized by a transportation network company that enables the
prearrangement of rides with transportation network company drivers.
Proposed law defines "gross trip fare" as the base fare plus any time or distance charges,
excluding any additional charges such as airport or venue fees.
Proposed law defines "intrastate prearranged ride" as any prearranged ride originating within
the jurisdiction of the local governmental subdivision.
Proposed law defines "local governmental subdivision" as any parish or municipality as
defined in Article VI, Section 44(1) of the Constitution of Louisiana.
Proposed law defines "personal vehicle" as a vehicle that is used by a transportation network
company driver and is owned, leased, or otherwise authorized for use by the transportation
network company driver. Specifies that a personal vehicle is not a vehicle subject to Parts
A and B of the Motor Carrier law as provided for in R.S. 45:161 et seq. or engaged solely
in interstate commerce.
Proposed law defines "prearranged ride" as the provision of transportation by a driver to a
rider that commences when a driver accepts a ride requested by a person through a digital
network controlled by a transportation network company, continues during the driver
transporting a requesting rider, and ends when the last requesting rider departs from the
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personal vehicle. Specifies that a prearranged ride does not include shared expense van pool
services, as defined in present law, shared expense car pool services, as defined in present
law, or transportation provided using a vehicle subject to Part A or B of the Motor Carrier
law or engaged solely in interstate commerce.
Proposed law defines "pre-trip acceptance period" as any period of time during which a
driver is logged on to the transportation network company's digital network and is available
to receive transportation requests but is not engaged in an intrastate prearranged ride.
Proposed law defines "transportation network company" as a person, whether natural or
juridical, that uses a digital network to connect transportation network company riders to
transportation network company drivers who provide prearranged rides, or a person, whether
natural or juridical, that provides a technology platform to a transportation network company
rider that enables the transportation network company rider to schedule an intrastate
prearranged ride.
Proposed law defines "transportation network company driver" as a person who receives
connections to potential passengers and related services from a transportation network
company in exchange for payment of a fee to the transportation network company, and who
uses a personal vehicle to offer or provide a prearranged ride to persons upon connection
through a digital network controlled by a transportation network company in return for
compensation or payment of a fee.
Proposed law defines "transportation network company rider" as a person who uses a
transportation network company’s digital network to connect with a transportation network
driver who provides intrastate prearranged rides to the rider in the driver's personal vehicle
between points chosen by the rider.
Proposed law provides that a "transportation network company vehicle" has the same
meaning as "personal vehicle".
Proposed law establishes a classification of carriers; specifically, provides that a company
or driver is not a common carrier, contract carrier, or motor carrier and exempts a driver
from having to register the vehicle as a commercial motor vehicle or a for hire vehicle.
Proposed law prohibits a person from operating a company without first obtaining a permit
from the department and further provides requirements for the permit. Proposed law
provides an exception to this requirement for companies that have been operating in this
state prior to the effective date of proposed law.
Proposed law requires the department to issue a permit to each applicant that meets the
requirements applicable to a company as provided for in proposed law.
Proposed law requires a company to maintain an agent for service of process in this state.
Proposed law requires companies to disclose the fare or the fare calculation method located
on their website or within the online-enabled technology application service to the rider prior
to the prearranged ride if a fare is collected from the rider.
Proposed law requires the company's digital network to display a picture of the driver and
the license plate number of the vehicle that will be used prior to the rider entering the car for
a prearranged ride. Proposed law requires a driver to present his physical driver's license or
digitized driver's license to a rider prior to the start of each prearranged ride upon request.
Proposed law requires the transmission of an electronic receipt to the rider on behalf of a
driver within a reasonable time following the completion of a prearranged ride. Proposed
law requires that the origin and destination of the trip, the duration and distance of the trip,
and the total fare paid for the trip be included on the receipt.
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Proposed law requires a company to implement a zero tolerance policy regarding a driver's
activities while accessing the company's digital network. Proposed law requires the policy
address the use of drugs or alcohol while a driver is providing prearranged rides or is logged
into the company's digital network regardless of whether the driver is providing prearranged
rides, and requires the company to provide notice of this policy on its website as well as
procedures to report a complaint about a driver with whom a rider was matched and whom
the rider reasonably suspects was under the influence of drugs or alcohol during the course
of the prearranged ride.
Proposed law requires a company to suspend a driver's ability to accept trip requests through
the company's digital network immediately upon receipt of a rider's complaint alleging a
violation of the zero tolerance policy. Proposed law further requires the company to conduct
an investigation into the reported incident and mandates that the suspension must last until
the investigation is complete. Proposed law requires the company to maintain records
relevant to the complaint for a period of at least two years from the date that a rider's
complaint is received by the company.
Proposed law establishes application, background check, and driving history requirements
that an individual must meet prior to being authorized to accept trip requests through a
company's digital network.
Proposed law requires the application include information regarding the applicant's address,
age, driver's license, motor vehicle registration, insurance, and any other information
required by the company.
Proposed law requires the company or a third party conduct a local and national criminal
background check for each applicant that includes: a multi-state and multi-jurisdictional
criminal records locator or other similar commercial nationwide database, a search of the
national sex offender public website maintained by the U.S. Dept. of Justice, and the
applicant's driving history. Proposed law further requires the company to conduct the
background check or driving history research report at least once every two years.
Proposed law requires a company to prohibit an individual from acting as a driver if, within
the three year period prior to applying to the company, the individual's driving history report
reveals more than three moving violations, or the individual's initial background check or
any subsequent background check reveals the individual has had at least one of the following
violations: flight from an officer or aggravated flight from an officer, reckless operation of
a vehicle, or operating a vehicle while under suspension.
Proposed law requires a company to prohibit an individual from acting as a driver if the
individual has been convicted, within the past seven years, of any enumerated felony in
present law, operating a vehicle while intoxicated, hit and run driving, or any crime of
violence as provided for in present law. Proposed law further requires a company to prohibit
an individual from acting as a driver if the individual is listed as an offender on the national
sex offender public website maintained by the U.S. Dept. of Justice, or does not possess a
valid driver's license or the required registration to operate a motor vehicle.
Proposed law prohibits a driver from accepting a trip for compensation if it is not arranged
through the company's digital network.
Proposed law requires a company to adopt a nondiscrimination policy with respect to riders
and potential riders and to inform its drivers of this policy. Proposed law requires the drivers
to comply with all applicable nondiscrimination laws and all applicable laws relating to
transporting service animals.
Proposed law prohibits a company from imposing any additional charges for providing
services to persons with physical disabilities.
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Proposed law requires a company to keep individual trip records and individual driver
records for at least three years after each trip or dissolution of a relationship with a driver.
Proposed law establishes requirements and procedures for an audit of a company by the
department. Specifies that the audit procedures are to include the right by the department
to visually inspect a sample of records, pertaining up to 100 drivers, that the company is
required to maintain. Proposed law further provides that if the department has a reasonable
basis to conclude that the company is not in compliance with the requirements of present law
after initial audit, the department may conduct a supplemental audit of records for an
additional selection of drivers at a location in Baton Rouge; the identity of specific drivers
or riders may be excluded, as appropriate, from the records.
Proposed law grants the governing body of a local governmental subdivision the ability to
request a report from the department on the results of an audit performed by the commission
pursuant to present law.
Proposed law authorizes the department to inspect records held by the company that are
necessary to investigate and resolve a specific complaint against a driver or the company.
Requires the inspection to take place at a mutually agreed upon place by the department and
the company. Specifies that the identity of a driver or rider may be excluded unless it is
relevant to the complaint.
Proposed law authorizes a local governmental subdivision that has enacted a company
ordinance that includes a per-trip fee prior to March 1, 2019, and has a company operating
within the corporate limits of a local governmental subdivision as of March 1, 2019, to
impose a fee up to or equal to the per-trip fee imposed by the local governmental
subdivision's company ordinance as of March 1, 2019, on each intrastate prearranged ride
within the corporate limits of the local governmental subdivision.
Proposed law authorizes a local governmental subdivision to impose a per-trip fee up to 1%
of the gross trip fare for each intrastate prearranged ride. Further provides that the local
governmental subdivision may impose such a fee by passing an ordinance that imposes the
fee on each company permitted by the department in accordance with present law.
Proposed law prohibits a local governmental subdivision that imposes a per-trip fee pursuant
to proposed law from imposing any fees or requirements other than the fee specified in
proposed law.
Proposed law specifies that a municipality's fee may apply only to intrastate prearranged
rides originating within the incorporated limits of the municipality and a parish's fee may
apply only to intrastate prearranged rides originating within the unincorporated portions of
the parish.
Proposed law requires a local governmental subdivision provide written notice to each
company at least 30 days prior to an initial hearing, reading, or consideration of an ordinance
imposing a fee pursuant to proposed law. Further provides that a local governmental
subdivision must also provide written notice within 10 days of the passage of any ordinance
imposing a fee pursuant to proposed law, and such ordinance cannot go into effect until the
1st day of the month that it is at least 30 days after passage of the ordinance.
Proposed law requires a company to collect the fee on behalf of the drivers and remit the
total fee to the local governmental subdivision on a quarterly basis within 30 days of the end
of the calender quarter.
Proposed law grants the department sole audit authority with respect to the fees remitted by
a company to a local governmental subdivision; requires a company to keep accurate books
and records reflecting its accounting and payment of fees; and upon reasonable prior written
request, no more than annually, authorizes the department to conduct an audit by visually
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inspecting a company's books and records relating to its accounting and payment of fees to
the local governmental subdivision, with the audit limited to a single calender year, which
may be chosen by the department.
Proposed law provides that if a local governmental subdivision has a reasonable basis to
suspect underpayment, the local governmental subdivision must request that the department
initiate an audit pursuant to proposed law, and if underpayment is over $50, requires the
company to remit the underpaid fees to the local governmental subdivision within 30 days.
Proposed law prohibits a local governmental subdivision from adding audit authority by
ordinance.
Proposed law provides that any record furnished or disclosed to the department may, as
appropriate, exclude information that would identify specific drivers or riders. Further
provides that the governing body of a local governmental subdivision may request to review
the results of an audit conducted pursuant to proposed law with respect to fees remitted by
a company to the local governmental subdivision.
Proposed law provides that it is the intent of the legislature to provide for the uniformity of
laws to govern transportation network companies, along with any rules promulgated by the
department. Further provides restrictions to the governing authorities on imposing taxes,
requiring a company to acquire a local business license or other type of authorization to
operate, or subject a company to any rate, entry, operation, or other requirement, except as
provided for in proposed law.
Proposed law provides that proposed law does not prohibit an airport from charging pick-up
fees for the use of the airport's facilities or designating locations for staging, pick-up, and
other similar operations at the airport.
Proposed law provides that nothing in proposed law is to be construed to prohibit the state
from maintaining, enforcing, prescribing, or continuing in effect any law or regulation
regarding the sale, distribution, repair, or service of vehicles.
Proposed law authorizes the department to promulgate rules and regulations to implement
and enforce proposed law and specifies that the rules may be more stringent than the
requirements set forth in proposed law. Mandates that the department report to the Joint
Legislative Committee on Transportation, Highways and Public Works for review and
approval of any rules or regulations promulgated by the department.
Effective July 1, 2019.
(Amends R.S. 45:201.6(G)(2); Adds R.S. 48:2191 - 2205)
Summary of Amendments Adopted by House
The Committee Amendments Proposed by House Committee on Transportation,
Highways and Public Works to the original bill:
1. Make technical changes.
2. Change the governing authority for transportation network companies from the
Dept. of Agriculture and Forestry to the Dept. of Transportation and
Development.
The House Floor Amendments to the engrossed bill:
1. Make technical changes.
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2. Require a driver to present his physical or digitized driver's license to a rider
prior to the start of each prearranged ride upon the request of the rider.
3. Delete the provision that required all records inspected by the department be
designated confidential and the provision that prohibited any records inspected
by the department from being subject to third party disclosure without prior
written consent of the company.
4. Delete the provision that provided that the total fee remitted to any local
governmental subdivision by a company, any records maintained by a company
that are obtained by a local governmental subdivision, the department, or any
other public body, and any records that incorporate information from records
maintained are designated confidential and are not subject to disclosure to a third
party without prior written consent of the company.
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